Global Security Experts (4417) Q2 2027 earnings summary

Executive summary

• Q2 FY2027 revenue and operating profit reached second-quarter records, up 24.0% and 32.9% YoY for H1; all business domains grew.

• H1 net income attributable to owners rose 118.1% to ¥1,273.5m, partly boosted by a ¥674.9m gain on sale of investment securities.

• AI-era security services and nationwide expansion through regional partnerships, banking channels and broader service coverage are key growth priorities.

Financial highlights

• H1 revenue was ¥6,150m, up 24.0% YoY; gross profit was ¥2,288m and operating income was ¥1,276.6m, up 27.3% and 32.9%, respectively.

• Ordinary income rose 39.0% to ¥1,260.6m; net income attributable to owners increased 118.1% to ¥1,273.5m.

• Q2 revenue was ¥3,378m, up 24.1% YoY, and operating income was ¥776m, up 27.8%.

• H1 EPS was ¥84.80 versus ¥38.86 in the prior-year period; figures reflect the 2-for-1 stock split retrospectively.

Outlook and guidance

• FY2027 guidance remains unchanged: revenue ¥13,778m, operating income ¥2,939m, ordinary income ¥2,973m, net income ¥1,998m and EPS ¥132.90; revenue and operating profit progress was 44.6% and 43.4%.

• Year-end dividend forecast was revised to zero; interim dividend and shareholder benefit changes were announced October 30, 2026.

• Planned advertising for next-period initiatives and year-end employee bonuses were noted alongside on-plan revenue and operating profit progress.

• AI initiatives target internal efficiency and price competitiveness, new AI-related services, and security solutions for AI adoption.